Nike to end Amazon pilot program: Report
The sportswear retailer launched the pilot program in June 2017.
Nike will end a long-term pilot program with Amazon where it sold a limited assortment of products through the e-commerce giant’s platform, the company said on Tuesday.
“As part of Nike’s focus on elevating consumer experiences through more direct, personal relationships, we have made the decision to complete our current pilot with Amazon Retail,” Nike said in a statement obtained by Bloomberg. “We will continue to invest in strong, distinctive partnerships for Nike with other retailers and platforms to seamlessly serve our consumers globally.”
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Nike will still use Amazon Web Services to power its app and website, the company added.
Amazon did not immediately respond to FOX Business’ request for comment.
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The sportswear retailer launched the pilot program in June 2017, offering an assortment of footwear and apparel directly to Amazon shoppers. The partnership was widely seen as a bid by Nike address the sale of its products by unauthorized or third-party vendors on Amazon’s marketplace.
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The partnership will end as Nike ramps up its own direct-to-consumer initiatives.
The company has overhauled its e-commerce efforts in recent quarters in a bid to modernize its business as traditional retail struggles with increased competition. Nike posted a 42 percent increase in digital sales in its most recent quarter.
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Nike tapped John Donahoe, the former CEO of eBay and cloud-computing firm ServiceNow, to replace longtime CEO Mark Parker as CEO effective in January.